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What is the purpose of the Form 990?

IRS Form 990 is an informational tax form that most tax-exempt organizations must file annually. In a nutshell, the form gives the IRS an overview of the organizations activities, governance and detailed financial information.

What does a 990 form tell you?

Form 990-N (e-Postcard) is an annual notice. Form 990 is the IRS primary tool for gathering information about tax-exempt organizations, educating organizations about tax law requirements and promoting compliance. Organizations also use the Form 990 to share information with the public about their programs.

What should I look for in a 990?

Key information to look for includes: The range and amounts of grants provided. The types of organizations or individuals receiving grants. The purpose of these grants and how they align with the nonprofits mission.

What is Form 990 summary?

Your Form 990 should include your organizations mission statement, all financial data, a summary of activities, specifics of your nonprofits governing body, and your organizations accomplishments from the prior year.

What can you learn from a 990 form?

In conjunction with an audited financial statement or annual report, a 990 can give a telling financial portrait of an organization, highlighting strengths, weaknesses, and warning signs.

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